This agreement is consistent with ETEX's multi-source tissue acquisition strategy, allowing ETEX to address the market demand for an osteoinductive DBM product that is designed to flow and set hard once implanted. ETEX will manufacture EquivaBone(TM) in its Cambridge facilities and market the product through its newly formed direct distribution channel.

Brian Ennis, CEO of ETEX Corporation, states "ETEX is pleased to form a partnership with AlloSource and we look forward to a long relationship. We are impressed with the capabilities, service levels, and commitment to excellence that AlloSource provides."

About ETEX Corporation

Established in 1989, ETEX Corporation develops, manufactures and commercializes calcium phosphate-based biomaterials for improved orthopedic clinical outcomes. A leader in bioresorbable bone substitute materials, ETEX focuses on expanding applications through combinations with cells, biologics, or therapeutic agents delivered in minimally invasive and easy to use systems. For more information, visit http://www.etexcorp.com.

About AlloSource

Founded in 1994, AlloSource, of Centennial, Colorado is one of the nation's largest non-profit providers of bone and soft tissue allografts for use in a host of medical treatments. Honoring the gift of donation, AlloSource responsibly develops, processes and distributes life-saving and life-enhancing human tissue for our communities. For more information, go to http://www.allosource.org.